Category: Books
Who is James Buchanan?
James Buchanan was asked to define himself in a single paragraph, here is the result:
When
all is said, I have faced few genuine choices between work and play
because there is really no distinction. My work is my play, and I am
surely among the fortunate in this as in so many other aspects of a
happy and well-ordered life. I have not been plagued by psychological
hangovers that make me try to respond to the "whys" of existence or the
"whats" beyond. I hope that I seem what I think I am: a constitutional
political economist who shares an appreciation for the Judeo-Christian
heritage that produced the values of Western culture and institutions
of civil order, particularly as represented in the Madisonian vision of
what the United States might have been and might still become. Am I
grossly naive to think this definition is sufficient unto itself?
That is from Ideas, Persons, and Events, volume 21 in the collected works of James Buchanan, published by Liberty Fund. This book is remarkable fun, and costs only $12.00, recommended.
Blink and the Wisdom of Crowds
Gladwell and Surowiecki discuss their respective books in Slate.
Energy economics
What most of us think about energy supply is wrong. Energy supplies are unlimited; it is energetic order that’s scarce, and the order in energy that’s expensive…
Our main use of energy isn’t lighting, locomotion, or cooling; what we use energy for, mainly, is to extract, refine, process, and purify energy itself. And the more efficient we become at refining energy in this way, the more we want to use the final product. Thus, more efficient engines, motors, lights, and cars lead to more energy consumption, not less…
These are the seven great energy heresies we propound in this book:
1. The cost of energy as we use it has less and less to do with the cost of fuel. Increasingly, it depends instead on the cost of the hardware we use to refine and process the fuel. Thus, we are not witnessing the twilight of fuel.
2. "Waste" is virtuous. We use up most of our energy refining energy itself, and dumping waste energy in the process. The more such wasteful refining we do, the better things get all around. All this waste lets us do more life-arrirming thing better, more clearly, and more safely.
4. The competitive advantage in manufacturing is now swinging decisively back toward the United States…[information technologies]
6. The raw fuels are not running out. The faster we extract and burn them, the faster we find still more. Whatever it is that we so restlessly seek — and it isn’t in fact "energy" — we will never run out. Energy supplies are infinite…
That is all from the new Peter Huber and Mark Mills book, The Bottomless Well: The Twilight of Fuel, the Virtue of Waste, and Why We Will Never Run Out of Energy. The authors do not quite connect their premises to their conclusions, but it makes for interesting reading. I took away the lesson that our energy consumption will rise indefinitely (and why), at least until our civilization falls.
Is French taxation progressive?
…French social policy is not overwhelmingly redistributive, and it is not financed with progressive income taxes, as in Denmark and Sweden, nor is it financed with a mix of progressive income taxes and payroll taxes, as in Germany, Canada, and Britain. As in other corporatist/continental consrevative welfare states, French social spending is financed with a mix of regressive payroll taxes, regressive sales taxes, and, for a little over a decade, a smaller "general social contribution" tax…
From the 1950s until roughly 1980 France was the leader in income inequality among OECD nations….in France the top 20% of income earners received 24% of transfer payments and the bottom 20% of earners only 18%. By 1991 French social policy was slightly more progressive, but French manual workers "remain[ed] in virtually the same relative position…"
…France remains a highly stratified society in both the social and economic sense. The wealthiest 10% of the French income ladder are 50% richer than their Swedish counterparts and the upper quarter of the French income ladder is not brought down by the tax system the way it is in Denmark, Sweden, and Germany…today many of France’s wealthy citizens occupy privileged spots at the core of the "welfare state." This is one of the key reasons they tend to support it.
That is from Timothy Smith’s recent and excellent France in Crisis: Welfare, Inequality, and Globalization since 1980. The tale is told from a center-left perspective, and yes he also explains what the French get right. Highly recommended, it is the best book I know on the contemporary French economy and polity.
MarginalDevolution.com?
…if the atoms obeyed Newton’s laws, they would disintegrate whenever they bumped into another atom. What keeps two atoms locked in a stable molecule is the fact that electrons can simultaneously be in so many places at the same time that they form an electron "cloud" which binds the atoms together. Thus, the reason why molecules are stable and the universe does not disintegate is that electrons can be many places at the same time.
But if electrons can exist in parallel states hovering between existence and nonexistence, then why can’t the universe? After all, at one point the universe was smaller than an electron. Once we introduce the possibility of applying the quantum principle to the universe, we are forced to consider parallel universes.
That is from Michio Kaku’s Parallel Worlds: A Journey Through Creation, Higher Dimensions, and the Future of the Cosmos. The book offers the best popular explanation I have seen of why we may be living in a hologram. But if you wish to feel better about your intellect, and baffle your friend with a Ph.d. in physics, buy him Douglass North’s new Understanding the Process of Economic Change.
Jared Diamond’s new book
Jared Diamond’s Collapse: How Societies Choose to Fail or Succeed came out this weekend.
In essence Diamond’s book consists of two parts. The first and lengthiest part (416 of 525 text pages) examines how several past societies — including the Mayans and Easter Island — met their doom. In every studied case deforestation and soil erosion played important roles. This part of the book could have been published on a stand-alone basis with the title How Poor and Backward Societies Suffer From Deforestation and Ill-Defined Property Rights. Specialists might carp that the material relies on secondary sources, but I found it to be stimulating and informative throughout.
The second part of the book is brief, and details major environmental problems faced today. This includes overpopulation, vanishing energy supplies, the loss of biodiversity, and so on. The material was well-presented but the overall level was not much above what you would find in a good magazine article.
The key to the "meta-book" is Diamond’s claim that part one — the history of deforestation — means we should worry more about part two, namely current environmental problems. The meta-book fails.
Yes we should worry about the environment today, but largely because of current data and analysis, not because of past history. If you look at the past, the single overwhelming fact is that all previous environmental problems, at the highest macro level, were overcome. We moved from the squalor of year 1000 to the mixed but impressive successes of 2005, a huge step forward. Environmental problems, however severe, did not prevent this progress. We may not arrive in 3005 with equal ease, but if you are a pessimist you should be concerned with the uniqueness of the contemporary world, not its similarities to the past.
Today’s world is indeed different. We are much wealthier, we have (partially) responsive democratic governments, reasonably effective government regulations, much higher population, an astonishing command over science, we are globally connected, and of course we use resources at a much higher clip. Whether you are an optimist or pessimist about modernity, the history of Greenland or the Pitcairn Islands should not much revise your priors about our future.
Here is Diamond’s recent NYT Op-Ed; Cafe Hayek has a negative reaction. Here is a quasi-review of the book from Matt Yglesias. Here is Alex on a fishy fact in the book. Here is my previous post on the book, which links to an interview with Diamond and a Malcolm Gladwell review.
The claim in the book I would most like to bet against:
"In the long run it is doubtful that Australia can even support its present population: the best estimate of a population sustainable at the present standard of living is 8 million people, less than half of the present population."
Any takers?
Writing a book by Wiki
Read more here, and good luck to Larry Lessig, I am cautiously bullish about this experiment. Wikis cannot always be trusted; what I like best is that the continual back-and-forth tends to keep the links fresh. They are complements to other sources, not substitutes.
What I’ve been reading
Garry Kasparov – Garry Kasparov on Fischer, My Great Predecessors, volume 4 – Fascinating, just imagine if Beethoven had written a book on Mozart. Most of the page is chess games, but the remaining text is alone worth the price. Kasparov makes a convincing case that Fischer relied heavily on his opponent’s major blunders, and that he would have a hard time beating many of the best post-1972 players. Can a subsequent champion make such an argument and keep a gracious tone? That is just part of what makes the book so interesting. Here is one review, including an interview.
Ron Chernow – Alexander Hamilton – I’ve reached the point where I hate books on the Founding Fathers, and I vowed I would not touch this one. But I weakened and it won me over. It stands as one of the best biographies I have read, plus it is full of economic history.
Greg Behrendt and Liz Tuccillo – He’s Just Not That Into You – Natasha reads me excerpts from this at night. Recast in rational choice terms, the main point is that women suffer from weakness of will, and require exhortation to adopt higher standards. They should split up with more guys, most of whom have no intention of marrying them.
Is the postulated problem — namely excessively low female standards — well-suited for genetic fitness but not utility maximization? Or was it well-suited for hunter-gatherer society but no longer today? How elastic is the supply of quality manhood, in response to higher standards from females? Must we revise the standard economic account that males will invest too much in signaling quality?
Gregory Conko and Gregory Miller – The Frankenfood Myth: How Protest and Politics Threaten the BioTech Revolution – The title says it all, recommended. Here is a summary interview.
Temple Grandin and Catherine Johnson – Animals in Translation: Using the Mysteries of Autism to Decode Animal Behavior – Main point: animals are smarter and more sensitive than you think, most of them just happen to be autistic. After you read the book, this suddenly seems intuitively obvious. This book I could not put down, and note that one of the authors is herself autistic.
Jared Diamond on Ecocide
Jared Diamond’s new book Collapse: How Societies Choose or Fail to Succeed is due out December 29th. His main argument is that many past civilizations have declined due to ecological catastrophes, and that we underestimate similar risks today. Here is an exclusive article by Diamond, which summarizes much of the book.
His older Guns, Germs, and Steel is a modern classic on the rise of the West; I am also much enamored of his The Third Chimpanzee. You’ll hear more on his latest once I get my hands on it, any Diamond book is an event.
Addendum: Blogger David Friedman points my attention to this Malcolm Gladwell review. Read Matt Yglesias on the book as well.
Productivity and opportunity cost
Here is Richard Posner’s 2003-4 output.
Here is Richard Posner’s attitude toward socializing; I am glad someone has come out and put this view on the table.
Books of the year
The Economist and The New York Times (password required) have put out their "best books of the year" lists. Each list is at the respective link, the common elements are:
Philip Roth – The Plot Against America
Anne Tyler – The Amateur Marriage
Colm Toibin – The Master
Alan Hollinghurst – Line of Beauty
David Mitchell – Cloud Atlas
Orhan Pamuk – Snow
Moving on to non-fiction, we have:
Ron Chernow – Alexander Hamilton
Seymour Hersh – Chain of Command
The 9-11 Commission Report, and
Stephen Greenblatt – Will in the World
As for my favorites in fiction, Susannah Clarke’s Jonathan Strange and Mr. Norrell is my clear pick, with nods to Garcia Marquez and Alice Munro. For non-fiction, my memory summons up Craig Seligman’s Sontag & Kael: Opposites Attract Me, Suketu Mehta’s Maximum City: Bombay Lost and Found, and Bart Schulz’s Henry Sidgwick: An Intellectual Biography. For science I’ll nominate Brian Greene’s Fabric of the Cosmos. I’m leaving off everything that has made our "Books we Recommend" list over the months.
My apologies if I forget your book. No, I haven’t forgotten its content (yet), I simply have no idea whether it came out this last year. Age has compressed my sense of time into two rather gross categories: "my plans for the future" and "the distant past."
The unhealthy price of textbooks
Henry over at Crooked Timber wants to know why some books are so expensive. The answer is that the books he has in mind are textbooks and the person choosing the textbook isn’t the one paying the price. In effect, the professor is buying the book but with someone else’s money. Hmmm, does this remind you of any other markets? Here’s a hint, the 3rd edition of Health Economics by Charles Phelps is $122.60. Here’s another application.
Addendum: Mark Steckbeck has a nice post explaining one reason why textbooks prices have increased in recent years. The internet has made resale easier thus adding to the book’s value and, as publishers realize that demand has increased, to the book’s price. Interesting possibility mentioned by Mark is that increases in nominal prices are consistent with decreases in real (after resale) prices.
Warring against the division of labor
A group of British scientists has come up with a brain-taxing spin on the old formula of 100 things to do before you die.
The group – which includes the evolutionary biologist Richard Dawkins, astronomer Sir Patrick Moore, neuroscientist Susan Greenfield and the inventor James Dyson – urges us all to take samples of our DNA, measure the speed of light with chocolate, and solve the mathematical mystery of the number 137.
The list, compiled by New Scientist magazine, suggests booking to see Galileo’s middle finger (preserved in Florence) or ordering liquid nitrogen to make the "world’s smoothest ice-cream" at home.
Another option is learning Choctaw, a language with two past tenses – one for giving information that is definitely true, the other for passing on material taken without checking from someone else.
Here is a summary article; I cannot find the entire list on-line, here is the book. My personal "before I die" goal is to study Indian classical music before my dexterity gives out completely; I no longer expect to play in the NBA or even to hold season tickets.
The best Bible translation ever?
It is by Robert Alter, and covers the first five books. I have only read his Genesis so far but it has beauty, power, and amazing footnotes. More accurate than the King James edition and more readable than the scholarly Fox translation. Order it here, and read this brief review.
If, sadly, books are not your thing, you might try this instead.
Red in Tooth and Claw
Is it possible that near-universal affluence and the social safety net inevitably make for less moving fiction? This thought is suggested by A Fine Balance, Rohinton Mistry’s heart-wrenching novel of India that invites comparison to the English novels of the 19th century–complete with a kind of workhouse in which our heroes are briefly incarcerated. Such is life in the developing world; fans of Sister Carrie should read "At 18, Min Finds a Path to Success in Migration Wave" at wsj.com (requires subscription), about the odyssey of one young woman from rural China.
Mistry’s book is set around 1975, with periodic excursions into the deeper past, and gives us a portrait of a place (India during the suspension of civil liberties under Indira Gandhi) where affluence is rare and the social safety net almost non-existent. It’s a society where the dead hand of bad government blights almost everything: there is rent control, food rationing, and a bureaucracy so extensive that "facilitators" negotiate it for you for a fee. Corruption abounds, abetted by all the regulation.
In literary terms, it’s too bad modern Western novels aren’t much concerned with money nowadays (you can read more about this), but to the extent the phenomenon reflects reader prosperity it’s probably just as well. Read A Fine Balance and you’ll come away feeling that the characters in most Western novels-like the people in most Western societies-have no idea how good they have it.